70A-9a-618 - Rights and duties of certain secondary obligors.
70A-9a-618. Rights and duties of certain secondary obligors.
(1) A secondary obligor acquires the rights and becomes obligated to perform the dutiesof the secured party after the secondary obligor:
(a) receives an assignment of a secured obligation from the secured party;
(b) receives a transfer of collateral from the secured party and agrees to accept the rightsand assume the duties of the secured party; or
(c) is subrogated to the rights of a secured party with respect to collateral.
(2) An assignment, transfer, or subrogation described in Subsection (1):
(a) is not a disposition of collateral under Section 70A-9a-610; and
(b) relieves the secured party of further duties under this chapter.
Enacted by Chapter 252, 2000 General Session